Renewed Bankruptcy Concerns Drag Down EchoStar Corp (SATS)

We recently published a list of 10 Stocks Investors Dumped Fast. In this article, we are going to take a look at where EchoStar Corporation (NASDAQ:SATS) stands against other worst-performing stocks.

EchoStar Corporation lost 8.52 percent of its valuation on Monday to close at $15.99 apiece as investor sentiment continued to be dampened by reports of the company’s potential bankruptcy filing.

This followed the recent notification from the Federal Communications Commission (FCC) that it was underway with the review of its compliance with certain federal obligations to provide 5G service in the US, raising concerns regarding its buildout extension and mobile-satellite service utilization in the 2 GHz band.

Further dampening the sentiment was the EchoStar Corporation’s (NASDAQ:SATS) intentional move not to settle worth $326 million of interest payments for one of its senior notes, saying that its ongoing battle with the FCC froze its ability to make decisions.

The move sparked concerns among investors about the company’s potential filing for bankruptcy protection.

Overall, SATS ranks 1st on our list of worst-performing stocks. While we acknowledge the potential of SATS as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.